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Heinrich-Heine-Universität Düsseldorf >
Düsseldorf Institute for Competition Economics (DICE), University of Düsseldorf >
DICE Discussion Paper, Düsseldorf Institute for Competition Economics (DICE) >
Please use this identifier to cite or link to this item:
http://hdl.handle.net/10419/41416
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| Title: | | Getting beer during commercials: adverse effects of ad-avoidance  |
| Authors: | | Stühmeier, Torben Wenzel, Tobias |
| Issue Date: | | 2010 |
| Series/Report no.: | | DICE discussion paper 02 |
| Abstract: | | This paper studies the impact of ad-avoidance behavior in media markets. We consider a situation where viewers can avoid advertisement messages. As the media market is a two-sided market, increased ad-avoidance reduces advertisers' value of placing an ad. We contrast two financing regimes, free-to-air and pay-TV. We find that a higher viewer responsiveness to advertising decreases revenues and entry in the free-to-air regime. In contrast, in the pay-TV regime, lower income from advertisements is compensated by higher subscription income leaving revenues and the number of channels unaffected for a fixed total viewership. |
| Subjects: | | Media Markets Ad-avoidance Two-Sided Markets |
| JEL: | | L11 L13 |
| ISBN: | | 978-3-86304-001-7 |
| Document Type: | | Working Paper |
| Appears in Collections: | | DICE Discussion Paper, Düsseldorf Institute for Competition Economics (DICE)
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